The Income Tax Act, 1961’s old tax regime provides various tax exemptions and deductions. (AI image) Income Tax Filing FY 2024-25: Employers are currently requesting salaried employees to provide documentation of tax-saving investments and expenses if they wish to reduce their tax liability. These documents are essential to prevent complete tax deduction at source (TDS)…
If one fails to submit a belated return by December 31, 2024, specific consequences apply. ITR filing deadline: December 31, 2024, marks the final deadline for submitting belated and revised income tax returns for FY 2023-24 (AY 2024-25). Whilst various taxpayer categories have distinct ITR filing deadlines, the final date for belated and revised returns…
Budget 2024 income tax expectations: The Modi government is mulling over the possibility of reducing personal tax rates for specific groups of individuals, according to two government sources who spoke to Reuters. This move has the potential to stimulate consumption in India, which is the third-largest economy in Asia. The sources, who requested anonymity due…
New Tax Regime Vs Old Tax Regime: Selecting the most tax-efficient income tax regime, either the old or new, can be a challenging decision for many salaried taxpayers. The optimal choice depends on the amount of deductions from gross total income that can be claimed to reduce the taxable income. If the gross total income…
Leave Travel Allowance: Employees opting for the old tax regime should be aware of the various exemptions and deductions that they can claim to reduce their tax. Leave Travel Allowance (LTA) is one such benefit. If it’s included in their salary or cost-to-company (CTC), employees can claim it.According to ET, there are certain restrictions and…
Employees’ Provident Fund Tax Benefits: It’s that time of the year when you have to choose between the old and the new income tax regime so that your employer will start cutting TDS from the April salary. When understanding the tax exemptions available under the old tax regime and deciding on tax saving investments, don’t…
New versus old income tax regime – understanding TDS on salary: The new financial year, 2024-25 has begun starting from April 1. However, the income tax laws from the previous year, FY 2023-24, remain in effect for FY 2024-25 because the government has not made any changes. Potential changes may be announced in the upcoming…
HRA tax exemption rules: House Rent Allowance (HRA) is a common component of many employees’ salary packages. Unlike basic salary, HRA isn’t entirely taxable, subject to specific conditions outlined in Section 10(13A) of the Income-tax Act, 1961.The exemption on HRA reduces the taxable portion of an employee’s income, thus offering a means to save on…
